Credit Advice

Have a question? Have advice to share? The combined knowledge and experience of everyone in the Credit Karma community can help you. Enter your question or help others below to get started!

Question

Posted in Credit Cards
Profile Image

Question By
jennab83

2 Contributions
0 People Helped
debt not on report but being threatened by lawsuit
I live in Texas and have an old debt from Kay's Jewelers from more than 8 years ago that no longer shows up on my credit report. I was contacted by Premier Asset Services by phone with a rude, pushy man saying that my case will be forwarded to a law office if I do not pay. The amount "owed" is more than 3x the original amount. I have done a little research and I believe I may have made a mistake by acknowledging the debt but made no arrangements for payment. Where do I go from here?

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW
All Responses

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next
2 Contributions
1 Person Helped
Most Helpful Response

Next time he calls

Helpful to 1 out of 1 people

Tell him to go stick his head in the sand. The guy is a junk debt dealer, that gets off of intimidating people with enormous sums of debt and threat. In reality he probably bought the debt off Kay or 50 other junk dealers for significantly below what your debt was originally. Now in order for him to make money he has to go at an exorbident rate, since most people will correctly not pay him a cent. 

Reply by
jennab83

2 Contributions
0 People Helped

Thank you for your advice. I spoke with the collector again today and requested a validation of debt and also mentioned that the statue of limitations has passed and he said he would be sending it out this week and that I was only using this as a stall tactic.   He told me that the SOL only applies to Kay's and when they sold it off that he can now bring the info back to my to show up negatively on my credit report.  I have been trying to repair my credit and these charges were from the stupidity of being young and trusting.  I am scared at the possibility of being sued.  Can they do that? Or would they bother for an original unpaid balance of $800? He is saying that I now owe over $2600 and that they won't take measly monthly payments and that I would have 8 months at the longest to pay.  Help!

Top Contributor

Reply by
mbacan

72 Contributions
290 People Helped
Helpful to 2 out of 2 people

When they said this:

"the SOL only applies to Kay's and when they sold it off that he can now bring the info back to my to show up negatively on my credit report". 

They are lying! The clock does not reset because these bottom-feeders bought the debt. 

Tell them to put the above in in writing (i'll bet they won't). And next time you talk to him, ask if he minds being recorded (the conversation will be very short, I guarantee it:)

Do NOT agree to anything especially that the debt is yours (they do not have proof of it and can almost w/ 100% certainty predict that you will never see a letter of validation. If you do, the next step is to tell them to put in writing what I said above (they won't do it). 

You CANNOT legally be forced to pay a debt after 7 years (and in some states it's less (Google it). Do not to agree to anything or to make any payments (not even $1, as this WILL reset your obligation and reporting). 

Don't lose any sleep over this - once they figure out that you know the law and you're a lost cause to collect from, they will leave you alone and move on to the next potential victim. 

2 Contributions
0 People Helped

Thank you so much! Problem is, he had me so scared at first that I did acknowledge the debt before I researched any options but never agreed to any payments.  He did inform me that they would record the call beforehand. Will this reset it? 

 He ended up calling back the day after I requested the verification and acted like he forgot that we even spoke the day before and I asked for his address to send the request for verification in writing.  I told him that I know a lawyer (I don't) and they were instructing me to ask for this info.  He then told me that they would be willing to settle for less than the $800. 

Top Contributor

Reply by
mbacan

72 Contributions
290 People Helped
Helpful to 2 out of 2 people

Nice job.

With a little knowledge and a little work on your part, you managed to turn this from you beign in a vulnerable defensive position, to being the quarterback (you are totally in control of this sitution now). I also doubt that they recorded you, they don't record many calls they just say they do. It's funny though (this actually can become fun at this point), if you tell them that you are recording them, they will tell you that they do not consent to being recorded and if you continue to they will hang up:)

Don't worry about admitting to the debt (seems like they did not make not of it and even if they do it is very difficult to follow through on (a verbal admission).

Do NOT aggree to pay anything. If you pay anything you have now reset the statue of limitations on your creit report. They do not have a leg to stand on. From here, you can go a couple of ways:

1) completely avoid them and they will go away after some time. Call block their # (you can do this on your cell and should be able to on your home phone (never tried home phone, this is an assumption

2) there really is no reason to talk to them again or respond to their letters. The best thing for you to do is option 1. If you continue to engage in communications with them they will think they have a shot of collecting - the $ antenna comes out of their forehead and it makes a "caching" sound (i probably misspelled this:). But, if you do choose to communicate with them then you have some weapons now. If you catch them in a lie, ask them if you have permission to record them (it gets fun at this point).  

Results 1-2 of 2Results per page: 5 | 10 | 25Page 1 of 1   Previous | Next

Your Credit Scores Should Be Free. And Now They Are.

View your scores and reports anytime.

SIGN UP NOW

Reply to this Question

Write your response:
Enter Your Comments

The Credit Advice pages of the Site may contain messages submitted by users over whom Credit Karma has no control. Credit Karma cannot guarantee the accuracy, integrity or quality of any such messages. Some users may post messages that are misleading, untrue or offensive. You must bear all risk associated with your use of the Credit Advice pages and should not rely on messages in making (or refraining from making) any specific financial or other decisions.